Developed in collaboration with blockchain firm Backed, the new product, branded as “xStocks,” will be available to users across Europe, Latin America, Africa, and Asia in the coming weeks.
“One tokenized equity is going to be equivalent or larger than Tether,” he said, pointing to a future where hundreds or thousands of tokenized securities are actively traded with associated futures and options markets.
Transactions can be executed using stablecoins, fiat, or other cryptocurrencies, with zero trading fees on Kraken. This system allows users to maintain custody of their tokenized shares and use them across compatible DeFi protocols.
The announcement reveals that the use cases for tokenized stocks go beyond basic trading. For instance, an individual can lend their tokenized Apple stock through a lending protocol to generate yield or use it as collateral for loans without liquidating their position.
Featured image created with DALL-E, Chart from TradingView
